Small form, mobile, and remote sensor network systems require secure and ultralow power data collection and communication solutions due to their energy constraints. The physical unclonable function (PUF) has emerged as a popular modern low power security primitive. However, current designs are analog in nature and susceptible to instability and difficult to integrate into existing circuitry. In this paper, we present the digital PUF which is stable in the same sense that digital logic is stable, has a very small footprint and very small timing overhead, and can be easily integrated into existing designs. We demonstrate the use of the digital PUF on two applications that are crucial for sensor networks: trusted remote sensing and logic obfuscation. We present our security analysis using standard randomness tests and confusion and diffusion analysis, and apply our new obfuscation approach on a set of standard design benchmarks.